Shares of NTPC Green Energy Ltd trading in the green and 1% higher on 24 August after its wholly owned subsidiary NTPC Renewable Energy Ltd (NTPC REL) secured 500 MW of contracted capacity in the Solar Energy Corporation of India’s (SECI) assured peak power tender at a discovered tariff of Rs 6 per kWh. 

The win strengthens the company’s renewable energy pipeline and supports its focus on firm and dispatchable green power. The capacity was awarded under SECI-FDRE-IX, a tariff-based competitive bidding process for assured peak supply of renewable energy. 

The tender covers 6,000 MWh of assured peak power, equivalent to 1,500 MW for four hours, from renewable energy projects connected to the Inter-State Transmission System (ISTS). NTPC REL emerged as a successful bidder in the e-reverse auction conducted on August 21.

The project is significant because assured peak power goes beyond conventional solar generation. Developers must be able to supply renewable electricity during periods of higher demand, making energy storage and hybrid renewable energy systems increasingly important. 

The shift towards firm and dispatchable renewable energy can help address the intermittent nature of solar and wind power.

NTPC REL’s 500 MW award represents one-third of the total capacity offered under the 1,500 MW tender. Waaree Forever Energies secured 700 MW at Rs 5.99 per kWh, while ACME Solar Holdings won 300 MW at Rs 6 per kWh. This shows that tariffs for firm renewable power are now being discovered around the Rs 6 per unit level in large competitive auctions.

The order also supports NTPC Green Energy’s broader expansion strategy. NTPC REL is developing projects across solar, wind, hybrid renewable energy and green hydrogen, as the NTPC Group aims to significantly increase its renewable energy capacity over the coming years. 

The latest SECI win adds to the company’s contracted renewable portfolio and provides greater visibility for future capacity development.

The development comes as India’s renewable energy market increasingly moves towards round-the-clock and dispatchable renewable power. Solar-plus-storage and firm renewable energy tenders are becoming more important as electricity demand rises and the country adds larger amounts of intermittent renewable capacity to the grid.

At 1:35 pm, the shares of NTPC Green Energy were trading 0.26% higher at Rs 91.67.

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